JICA to Provide 102.48 Billion Yen Loan for Bengaluru Metro Rail Project Phase 3
Bengaluru, March 24 – The Japan International Cooperation Agency (JICA) announced the signing of a loan agreement with the central government to provide an Official Development Assistance (ODA) loan of 102,480 million Japanese Yen for the Bengaluru Metro Rail Project Phase 3 (I).The loan agreement was signed in New Delhi between Alok Tiwari, Joint Secretary, Department of Economic Affairs, Ministry of Finance, and Takeuchi Takuro, Chief Representative of JICA India Office.
The project aims to address the growing traffic demand in the Bengaluru Metropolitan Region in Karnataka by expanding the mass rapid transportation system. It is expected to promote regional economic development, improve the urban environment, and mitigate climate change by easing traffic congestion and reducing pollution.
The initiative will include civil and architectural works for approximately 44.65 km of metro lines with 31 elevated stations, comprising the Outer Ring Road section (Corridor 3‑1) and the western growth corridor (Corridor 3‑2). The project will connect with the Airport Line and Line 6, completing a circular network around the city center and substantially improving airport access, strengthening interchange with existing east–west lines, and enhancing overall travel efficiency.
Transit-oriented development (TOD) will be promoted through multimodal integration, including feeder buses, shared mobility services, and double-decker viaduct structures. The Bangalore Metro Rail Corporation Limited (BMRCL) will serve as the executing agency.
The loan will have a repayment period of 30 years, including a grace period of 10 years, with an interest rate of Tokyo Term Risk Free Rate (TORF) + 80 basis points for the project and 0.80 per cent for consulting services. Procurement will follow general untied conditions.
The project is scheduled to be completed by January 2032, with invitations for consulting services expected to be issued in April 2026. The tender announcement for the initial procurement package for civil works for the viaduct portion is planned for May 2026.
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